Seoul shares are likely to open cautiously on Monday after the latest move by China to tighten monetary policy, while crude refiners and airlines may be tracked on crude oil prices' continued gains.

There is little upside room in the market given its current level. Latest world economic developments will likely keep investors at bay, said Kim Young-june, a market analyst at SK Securities.

China's central bank raised lenders' required reserves on Friday for the fourth time in just over two months, stepping up the fight against inflation that it has vowed will be a top priority for the year.

Airlines and crude refiners including Korean Air Line and S-Oil meanwhile could be eyed after Brent crude rose above $99 a barrel on Friday.

The Korea Composite Stock Price Index (KOSPI) ended up 0.89 percent at 2,108.17 points on Friday, hovering near an all-time high of 2,109.34 points.

 

 

STOCKS TO WATCH 

HYUNDAI MOTOR

Hyundai Motor Group has signed a preliminary deal to buy a controlling stake in Hyundai Engineering & Construction , a major E&C shareholder said on Friday.  

 

SK INNOVATION

Formerly SK Energy, South Korea's No.1 crude refiner will trade under the new name SK Innovation from Monday.

 

SK HOLDINGS

A pharmaceutical unit of SK Group has won an approval from the U.S. FDA for a trial of its Parkinson's disease drug, according to a local media report.